What do you do after company formation? Once your company registration is complete, there are a few things to consider within the first few weeks of starting a business.
Following company setup, Companies House will issue a Certificate of Incorporation to verify the successful registration of your new company in the UK. Upon receipt of your incorporation documents including your memorandum and articles of association, your company is ready to start trading, and listed as ‘active’ on the public register of companies.
The articles of association will typically contain the following provisions: the company’s own rules for appointing and resigning directors; the duties, rights and liability of the members; the powers granted to directors to execute documents and changes to the company; the number of directors required to serve the company; the decision making process and all other administrative matters that affect the company.
As your limited company is quite separate to you as an individual, the next step is to open a business bank account. It is the correct way to keep your business finances clearly separated from personal ones. “As part of our company formation services, we have acted as banking intermediaries for many years, and have strong relationships with several UK banks, enabling us to introduce clients for corporate account opening,” says James Turner, Director at Company Formation Specialists, Turner Little.
You will also need to ensure you have a UTR (Unique Tax Reference) number, which is provided by the HMRC to every newly incorporated company. “All active companies have to pay corporation tax, which is currently 19% of the company’s profit. Alongside this, you may wish, or indeed need, to become VAT registered,” adds James.
“However, it’s important to remember that if your company is not trading or conducting any business activity that generates an income to be entered into your accounting records, contact the HMRC to state that your company is dormant,” says James.
At Turner Little, we specialise in creating bespoke solutions for both individuals and businesses of all sizes. The knowledge and expertise of our specialists, ensures we are able to assist with any enquiries, no matter how complex. To find out more about how we can help you start your company formation, get in touch with us today